No matter where you live, car insurance is an important cost to endure, as one never can tell when they will be involved in the unfortunate event of a minor or major car accident. Life is unpredictable so it is highly risky to not be covered. However, by living in South Africa, we are faced with high crime statistics, often involving hijackings and car theft. This reality means that car insurance is particularly important for South Africans to acquire.
When looking for car insurance in South Africa, the first step is to find a reputable car insurance company. This is not always an easy task so it is helpful to ask friends and family for recommendations, or do research online. One should bear in mind that the cheapest quote is not necessarily the best, so it is important to do your homework in this matter.
In South Africa, there are three types of car insurance. They are Comprehensive Cover, Third Party Fire and Theft Cover, and Third Party Only Cover.
Comprehensive car insurance provides the most extensive cover, covering the widest range of circumstances. It generally includes theft and hijacking, and all damage to your own car resulting from fire, traffic accidents, and natural disasters such as floods and hail. It also includes cover for any damage which you may cause to another car or injury resulting from an accident which you were involved in.
Third Party, Fire and Theft car insurance differs from comprehensive cover as it does not provide any cover for accidental damage to your car. You will be covered if your car is lost or damaged due to fire, hijacking or theft.
Third Party Only car insurance is the cheapest option, covering you for any damage caused to another person’s vehicle. It will cover any costs linked to the third party involved in the accident, but it does not cover you for damage caused to your own car due to accidents, fire or theft.
When it comes to the costs involved in acquiring car insurance, your insurer will need to look at model, age and current condition of your car. This is important as some cars have higher repair costs, or can be at higher risk of being stolen or hijacked. Factors such as your lifestyle and where you keep your car are also considered when calculating premiums.
It’s important to make an informed decision when acquiring car insurance in South Africa. It may seem like a vigorous and daunting process, but with the correct information, the process can be made simple and in the end it is worthwhile.